Reading Assignment 4: “Economic Globalization:Corporations”——JIA MENGZHUO
1)SUMMER In discussions of economic globalisation, transnational corporations (TNCs) are considered to be the main shapers, but this view can be misleading. This chapter provides a detailed description of the nature and significance of TNCs in globalisation, highlighting five key issues: size and geographic distribution, the reasons for and modalities of transnational activities, the geographic embeddedness of TNCs, the embodiment of networks of firms in transnational networks of production, and the power relations between TNCs and other actors across the globe. The concept of global corporations is often portrayed as "place-less" giants, but in reality they operate in different political, social and cultural environments and are increasingly diverse. Foreign direct investment (FDI), an important indicator of TNC activity, has grown significantly faster than global trade, underscoring the importance of TNCs as a force for global economic integration. Finally, while the number...